The Department for Promotion of Industry and Internal Trade held wood panel industry stakeholders meet on 19TH December 2024 under the Chairmanship of Mr Sanjiv Singh, Joint Secretary,DPIIT with Plywood, Wood, Doors and Furniture Stakeholders to discuss the concerns related to QCOs on various wood panel products.
The meeting is attended by Mr H.J.S Pasricha, Deputy Director General, Bureau of Indian Standards (BIS), Mr Dhiren Gopal, Chairman, Associations of Furniture Manufactures of India, Mr Rajesh Mittal, President, Federation of Indian Plywood and Panel Industry (FIPPI), Mr. N K Agarwal, Chairman, Action Tesa, Mr. Ashok Agarwal, President, UPPMWA, Mr. Inderjit Singh Sohal & Mr. Arvinder Singh, PPMA, Mr Mujeeb, President, SOPMA, Dr. Prashant, President, SIPMA, Mr. Sandeep, Northern Ply, Ramnagar, Mr. Gajendra Rajput, President, WTA, Dr M P Singh, FIPPI, Mr. Huzefa Samplewala, President, Association of Furniture Manufacturers and Traders (AFMT) and other Plywood/ Door & Furniture Industries/ Associations namely HPMA, AIPMA, SOPMA etc.
Moved by the Honorable Minister of Commerce and Industry, MrPiyush Goyal’s profound understanding of the QCO and the challenges faced by Indian industries, the team delivered an excellent presentation, and after thorough discussions, it has been decided that there will be no further extension on the implementation of QCO/BIS. The new regulations will come into effect from March 1, 2025, and compliance will also be mandatory for imports. While certain relaxations will be provided, the details are yet to be finalized.
However AFMI requested for an extension in the implementation of the QCOs citing the fear of increase in imports of furniture from China and vetting of non-China owned units in ASEAN countries by BIS.
Responding to AFMI, DPIIT commented that the import duty has already been imposed on imports of furniture from China to the tune of 10 -25 %. Besides this revision of standards is an ongoing process, which is being undertaken by BIS.
Emphasizing the need of mandatory QCO implementation on plywood, MDF, and particle boards, Minister Mr Goyal also requested that plywood prices not be increased.
Taking its cue from the QCO on Toys industry during the stakeholders meeting at DPIIT, all the producers association appealed to DPIIT for the immediate and effective implementation of QCO in the wood panel industry.
In order to support domestic Plywood, Door and Furniture Industry with steady raw material supply, the department has forwarded to OEA duly recommended for BCD reduction for products under HS 4408 (from 10 % to 0 %). Further consideration of reduction of BCD of Wood logs products falling under HS 4401 and HS 4403 from 5% to 0%" has been forwarded to MoEFCC.
BIS informed that the Standards pertaining to Draft Furniture QCO would be finalized by Jan-2025. Post the formulation of standards, the process for publication ofthe Draft furniture QCO may be initiated.
Further, BIS was informed to expedite the processing of licenses and to speed up the inspection of foreign manufacturers to ensure the timely issuance of licenses for the products covered under the aforementioned QCOs. Additionally, industries and associations were advised to take necessary steps to obtain licenses well in advance of the effective implementation dates of the QCOs.
As the plywood industry gears up to become quality conscious BIS licensing applications are increasing day by day which suggests that stakeholders aspire to match up the deemed standards to provide fine quality of wood panels for furniture and interior works at affordable prices.
With a vision to reap the benefits of agroforestry, the wood panel industry is also joining forces with Agro industry, wherein farmers are cultivating species such as Eucalyptus, Poplar, Kadamba, Malabar Neem, Rosewood and MeliaDubia etc along with the seasonal crops. Agroforestry has emerged as a benefactor for lacs of farmers by helping increase their earnings along with contributing to expansion in tree cover area.